A Roundtable Discussion “BRICS Zone in Finance and Investment: New Challenges and Opportunities” took place in Moscow
20/05/2024
On May 15, a round table titled “BRICS Zone in Finance and Investment: New Challenges and Opportunities” took place in Moscow. The participants convened to discuss various aspects, including the key challenges and opportunities in shaping a new financial world order, safeguarding the national interests of the BRICS nations amidst global transformations, and various matters concerning financial planning and management. The event brought together representatives from academic, business, and expert communities, specializing in finance, investment, and international law, hailing from Russia, India, China, Brazil, and South Africa.
One of the central themes addressed during the round table was the imperative to establish a new financial world order. Speakers deliberated on potential trends and trajectories for the evolution of the global financial system, as well as the role that the BRICS states could assume in shaping this trajectory. Moderating the event was Irina Yarygina, Section Head at the BRICS Expert Council-Russia, Research Head at the Eurasian Information and Analytical Consortium, Department Head at MGIMO University, and Director for Science at the National Committee for BRICS Research.
Krish Chetty, representing the University of Johannesburg (South Africa), delivered a presentation on the concept of a BRICS digital currency. He outlined the primary objectives to be addressed and offered prospective solutions for implementing this initiative. Mr Chetty underscored the potential risks associated with introducing a BRICS digital currency, cautioning that it could introduce uncertainty and instability into the financial system. As an alternative approach, he advocated for the development of national currencies first, followed by the establishment of a legal framework through the BRICS international agreements to facilitate stable transactions. "We are facing serious challenges, and it is important for us to develop a new financial world order that meets the modern realities and interests of our countries. The digital currency can become a powerful tool for strengthening cooperation within BRICS and reducing dependence on traditional financial instruments," he added.
Another crucial aspect of the discussion centred around safeguarding the national interests of the BRICS nations amidst a shifting global order.
"We must be prepared for changes and actively safeguard our national interests within the financial sector. This juncture is pivotal for the stability and progress of our countries," noted Li Xin, PhD, Director of the Institute of Research (China).
During the meeting, participants highlighted the necessity of formulating and enforcing unified standards and regulations in trade, investment, combating money laundering, and other economic domains. These efforts aim to establish a more predictable and stable environment for collaboration, thereby diminishing the likelihood of conflicts and disagreements.
The experts unanimously shared their stance on collaboration among the BRICS nations: To address shared challenges and promote sustainable growth, it is essential to maintain continuous communication and develop collective strategies and programmes to bolster financial stability and enhance the competitiveness of the BRICS member states.